Silverstein Properties and the Elad Group, developers of the 366-unit residential project at 1 West End Avenue, are seeking $500 million in consortium funds that would likely replace the project’s acquisition and predevelopment financing.
The majority of the funding will come from a syndicate led by Wells Fargo and Bank of America — both of whom participated in the original purchase of the land from the Carlyle Group — with Wells Fargo taking on about $100 million of the loan, the New York Observer reported. The meeting regarding the new financing for the project was held Tuesday morning.
The project, which will likely have 250 market-rate condos and 116 affordable units, is particularly attractive to the banks due to the low cost per square foot paid by Silverstein and Elad, according to the Observer. Santander Bank, People’s United Bank and CIT Real Estate Finance are also said to be interested in the deal.
The 42-story Lincoln Square tower has come under some criticism for plans to include a so-called “poor door” — a separate entrance for residents of the affordable units. However, the city and Silverstein reached an agreement in August that will give affordable unit tenants access to the tower’s courtyard and roof deck. [NYO] — Heather Grossmann